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1 – 10 of 248Peng Huang and Yue Lu
The purpose of the study is to examine the relation between board structure and firm performance variability in an international setting. The authors further explore the effect of…
Abstract
Purpose
The purpose of the study is to examine the relation between board structure and firm performance variability in an international setting. The authors further explore the effect of national culture in shaping such relations.
Design/methodology/approach
The authors’ international sample contains 4,911 firms across 49 countries over the 2002–2017 period. The authors use national culture values on individualism and power distance developed by Hofstede (1980, 2001, 2011). The authors focus on within-firm, over-time variability of firm performance and estimate multivariate linear regressions with fixed effects. The authors address the endogeneity concern using the instrumental variable approach, and the authors’ results are robust to alternative measures of variables and different subsamples.
Findings
The authors find that firms with larger board size, greater board independence and less powerful CEOs have less variable performance. Individualism has a magnifying effect while power distance has a mitigating effect in shaping such relations.
Originality/value
To the best of the authors’ knowledge, this study is among the first to answer the call of Adams, Hermalin and Weisbach (2010) for research on corporate boards in an international setting. It is also one of the few studies which examine the variability of firm performance, while the majority of existing literature focuses on the level of firm performance. Most importantly, to the best of the authors’ knowledge, this study is the first to explore the role of national culture in shaping boardroom interactions that affect the decision-making process of corporate boards, which, in turn, affects firm performance variability.
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Fateh Saci, Sajjad M. Jasimuddin and Justin Zuopeng Zhang
This paper aims to examine the relationship between environmental, social and governance (ESG) performance and systemic risk sensitivity of Chinese listed companies. From the…
Abstract
Purpose
This paper aims to examine the relationship between environmental, social and governance (ESG) performance and systemic risk sensitivity of Chinese listed companies. From the consumer loyalty and investor structure perspectives, the relationship between ESG performance and systemic risk sensitivity is analyzed.
Design/methodology/approach
Since Morgan Stanley Capital International (MSCI) ESG officially began to analyze and track China A-shares from 2018, 275 listed companies in the SynTao Green ESG testing list for 2015–2021 are selected as the initial model. To measure the systematic risk sensitivity, this study uses the beta coefficient, from capital asset pricing model (CPAM), employing statistics and data (STATA) software.
Findings
The study reveals that high ESG rating companies have high corresponding consumer loyalty and healthy trading structure of institutional investors, thereby the systemic risk sensitivity is lower. This paper reveals that companies with high ESG rating are significantly less sensitive to systemic risk than those with low ESG rating. At the same time, ESG has a weaker impact on the systemic risk of high-cap companies than low-cap companies.
Practical implications
The study helps the companies understand the influence of market value on the relationship between ESG performance and systemic risk sensitivity. Moreover, this paper explains explicitly why ESG performance insulates a firm’s stock from market downturns with the lens of consumer loyalty theory and investor structure theory.
Originality/value
The paper provides new insights on the company’s ESG performance that significantly affects the company’s systemic risk sensitivity.
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Mengjiao Chen, Jinjuan Ren and Jingying Zhao
This paper aims to investigate the impact of corporate culture on stock price crash risk and explore the underlying mechanisms.
Abstract
Purpose
This paper aims to investigate the impact of corporate culture on stock price crash risk and explore the underlying mechanisms.
Design/methodology/approach
This paper uses a novel firm-level culture measure of Li et al. (2020), which evaluates corporate culture from the perspectives of integrity, teamwork, innovation, respect and quality. Using a sample of 4,017 US firms from 2001 to 2018, this paper uses panel data regressions to explore the impact of corporate culture on stock price crash risk.
Findings
This paper finds that among five cultural dimensions, integrity reduces crash risk and quality increases crash risk. The mitigating effect of integrity culture on crash risk is concentrated among firms with a strong incentive or ability to hoard bad news. The exacerbating effect of quality culture on crash risk is concentrated among firms with low managerial flexibility.
Social implications
This paper helps investors and regulators to understand the determinants of stock price crash risk, which facilitates investors’ wealth management and stabilizes social welfare.
Originality/value
To the best of the authors’ knowledge, this is the first study that uses time-varying firm-level measure of corporate culture to investigate its impact on stock price crash risk, contributing to the literature on the determinants of crash risk. Besides, this is the first study that explores the possible mechanism of managerial flexibility in influencing stock price crash risk.
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Yifeng Zhu, Ziyang Zhang, Hailong Zhao and Shaoling Li
Five-level rectifiers have received widespread attention because of their excellent performance in high-voltage and high-power applications. Taking a five-level rectifier with…
Abstract
Purpose
Five-level rectifiers have received widespread attention because of their excellent performance in high-voltage and high-power applications. Taking a five-level rectifier with only four-IGBT for this study, a sliding mode predictive control (SMPC) algorithm is proposed to solve the problem of poor dynamic performance and poor anti-disturbance ability under the traditional model predictive control with the PI outer loop.
Design/methodology/approach
First, mathematical models under the two-phase stationary coordinate system and two-phase synchronous rotating coordinate system are established. Then, the design of the outer-loop sliding mode controller is completed by establishing the sliding mode surface and design approach rate. The design of the inner-loop model predictive controller was completed by discretizing the mathematical model equations. The modulation part uses a space vector modulation technique to generate the PWM wave.
Findings
The sliding mode predictive control strategy is compared with the control strategy with a PI outer loop and a model predictive inner loop. The proposed control strategy has a faster dynamic response and stronger anti-interference ability.
Originality/value
For the five-level rectifier, the advantages of fast dynamic influence and parameter insensitivity of sliding mode control are used in the voltage outer loop to replace the traditional PI control, and which is integrated with the model predictive control used in the current inner loop to form a novel control strategy with a faster dynamic response and stronger immunity to disturbances. This novel strategy is called sliding mode predictive control (SMC).
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This study aims to focus on the resource-based faultline of a top management team (TMT) and intends to investigate the impact of TMT resource-based faultline on corporate green…
Abstract
Purpose
This study aims to focus on the resource-based faultline of a top management team (TMT) and intends to investigate the impact of TMT resource-based faultline on corporate green innovation, by indicating the environmental management as a mediator and slack resources as a moderator to understand the relationship.
Design/methodology/approach
Based on the empirical data of Chinese listed manufacturing companies from 2008 to 2020, this study assesses the hypotheses using an OLS model with fixed effects of time and industry.
Findings
The results indicate that TMT resource-based faultline is significantly negatively correlated with corporate green innovation. The conclusion remains valid after endogeneity tests and robustness checks. Mechanism test shows that environmental management plays a mediating role in the association between TMT resource-based faultline and corporate green innovation. Moreover, slack resources diminish the negative association between TMT resource-based faultline and corporate green innovation.
Originality/value
The study not only expands the theoretical understanding of the deeper motivation of TMT faultline on corporate green innovation, but also provides a practical reference for optimizing the human resource allocation of the TMT and accelerating green transformation development.
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Xin Fan, Yongshou Liu, Zongyi Gu and Qin Yao
Ensuring the safety of structures is important. However, when a structure possesses both an implicit performance function and an extremely small failure probability, traditional…
Abstract
Purpose
Ensuring the safety of structures is important. However, when a structure possesses both an implicit performance function and an extremely small failure probability, traditional methods struggle to conduct a reliability analysis. Therefore, this paper proposes a reliability analysis method aimed at enhancing the efficiency of rare event analysis, using the widely recognized Relevant Vector Machine (RVM).
Design/methodology/approach
Drawing from the principles of importance sampling (IS), this paper employs Harris Hawks Optimization (HHO) to ascertain the optimal design point. This approach not only guarantees precision but also facilitates the RVM in approximating the limit state surface. When the U learning function, designed for Kriging, is applied to RVM, it results in sample clustering in the design of experiment (DoE). Therefore, this paper proposes a FU learning function, which is more suitable for RVM.
Findings
Three numerical examples and two engineering problem demonstrate the effectiveness of the proposed method.
Originality/value
By employing the HHO algorithm, this paper innovatively applies RVM in IS reliability analysis, proposing a novel method termed RVM-HIS. The RVM-HIS demonstrates exceptional computational efficiency, making it eminently suitable for rare events reliability analysis with implicit performance function. Moreover, the computational efficiency of RVM-HIS has been significantly enhanced through the improvement of the U learning function.
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Mehdi Mohamadi and AmirMahdi Tahsini
The purpose of this study is to investigate the combustion of the n-Heptane droplets in the supersonic combustor with a cavity-based fuel injection configuration. The focus is on…
Abstract
Purpose
The purpose of this study is to investigate the combustion of the n-Heptane droplets in the supersonic combustor with a cavity-based fuel injection configuration. The focus is on the impacts of the droplet size on combustion efficiency.
Design/methodology/approach
The finite volume solver is developed to simulate the two-phase reacting turbulent compressible flow using a single step reaction mechanism as finite rate chemistry. Three different fuel injection settings are studied for the considered physical geometry and flow conditions: the gas fuel injection, small droplet liquid fuel injection and big droplet fuel. The fuel is injected as a slot wall jet from the bottom of the cavity.
Findings
The results show that using the small droplet size, the complete fuel consumption and combustion efficiency can be achieved but using the big droplet sizes, most fuel exit the combustor in the liquid phase and gasified unburned fuel. It is also demonstrated that the cavity's temperature distribution of the liquid fuel case is different from the gas fuel, and two flame branches are observed there due to the droplet evaporation and combustion in the cavity.
Originality/value
To the best of the authors’ knowledge, this study is performed for the first time on the combustion of the n-Heptane fuel droplets in scramjet configuration, which is promising propulsion system for the future economic flights.
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Fouad Jamaani and Abdullah M. Alawadhi
Driven by the anticipated global stagflation, this straightforward yet novel study examines the cost of inflation as a macroeconomic factor by investigating its influence on stock…
Abstract
Purpose
Driven by the anticipated global stagflation, this straightforward yet novel study examines the cost of inflation as a macroeconomic factor by investigating its influence on stock market growth. Thus, this paper aims to examine the impact of inflation on the probability of initial public offering (IPO) withdrawal decision.
Design/methodology/approach
The paper employs a large dataset that covers the period January 1995–December 2019 and comprises 33,536 successful or withdrawn IPOs from 22 nations with various legal and cultural systems. This study applies a probit model utilizing version 15 of Stata statistical software.
Findings
This study finds that inflation is substantially and positively correlated with the likelihood of IPO withdrawal. Results of this study show that the IPO withdrawal decision increases up to 90% when the inflation rate climbs by 10%. Multiple robustness tests provide consistent findings.
Practical implications
This study's implications are important for researchers, investment banks, underwriters, issuers, regulators and stock exchanges. When processing IPO proposals, investment banks, underwriters and issuers must consider inflation projections to avoid negative effects, as demonstrated by the findings. In addition, regulators and stock exchanges must be aware of the detrimental impact of inflation on competitiveness in attracting new listings.
Originality/value
To the best of the authors’ knowledge, this study is the first to present convincing evidence of a major relationship between IPO withdrawal decision and inflation.
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This study aims to know the tactician role of financial technology (FinTech) in the field of accounting and auditing through contextualized systematic literature review by using…
Abstract
Purpose
This study aims to know the tactician role of financial technology (FinTech) in the field of accounting and auditing through contextualized systematic literature review by using bibliometric analysis.
Design/methodology/approach
The qualitative bibliometric analysis includes studies from 2017 to 2021 using the Scopus and Web of Science databases, which yielded 277 published papers with the keywords, FinTech accounting and auditing. The contextualized systematic literature review greatly helped in clarifying the content within each cluster.
Findings
The study identified the tactician role of fintech primarily in the accounting and auditing professional field. Fintech is still in its inception, with continual development and implementation taking place especially, in the auditing field. The findings also confirm that FinTech can produce a confluence between various research areas, including accounting, auditing, business finance, economics, management and business field.
Research limitations/implications
The study describes the tactician role of FinTech and its huge possibility for future study in the accounting and auditing field among professionals, academics and regulators.
Practical implications
This study be able to help accounting professionals, policymakers and government regulators to establish policy development, as this research emphasizes the tactician role of FinTech in the accounting and auditing field.
Social implications
FinTech in accounting and auditing might add to the existing field of FinTech in the IR4.0 era that give benefits to different players such as policymakers, governments, researchers, FinTech entrepreneurs and practicing professionals.
Originality/value
To the best of the author’s knowledge, little focus has been given about FinTech in the accounting and auditing field using bibliometric analysis. The insights of systematic literature review provide researchers on FinTech among practicing professionals and offer opportunities for further scientific endeavours.
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Hubannur Seremet and Nazim Babacan
This paper aims to examine the static compression characteristics of cell topologies in body-centered cubic with vertical struts (BCCZ) and face-centered cubic with vertical…
Abstract
Purpose
This paper aims to examine the static compression characteristics of cell topologies in body-centered cubic with vertical struts (BCCZ) and face-centered cubic with vertical struts (FCCZ) along with novel BCCZZ and FCCZZ lattice structures.
Design/methodology/approach
The newly developed structures were obtained by adding extra interior vertical struts into the BCCZ and FCCZ configurations. The samples, composed of the AlSi10Mg alloy, were fabricated using the selective laser melting (SLM) additive manufacturing technique. The specific compressive strength and failure behavior of the manufactured lattice structures were investigated, and comparative analysis among them was done.
Findings
The results revealed that the specific strength of BCCZZ and FCCZZ samples with 0.5 mm strut diameter exhibited approximately a 23% and 18% increase, respectively, compared with the BCCZ and FCCZ samples with identical strut diameters. Moreover, finite element analysis was carried out to simulate the compressive response of the lattice structures, which could be used to predict their strength and collapse mode. The findings showed that while the local buckling of lattice cells is the major failure mode, the samples subsequently collapsed along a diagonal shear band.
Originality/value
An original and systematic investigation was conducted to explore the compression properties of newly fabricated lattice structures using SLM. The results revealed that the novel FCCZZ and BCCZZ structures were found to possess significant potential for load-bearing applications.
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